This past week, as the U.S. Bureau of Economic Analysis (BEA) released a better-than-market-expected estimate of second-quarter gross domestic product (GDP) on Thursday (25 July), coupled with Friday’s release of the June Personal Consumption Expenditures (PCE) index, which showed a further slowdown in inflation.
Most analysts believe that the latest economic data increases the likelihood that the Federal Reserve will cut interest rates in September.
As of 26 July, The S&P/TSX Venture Composite Index (INDEXTSI:JX) lost 0.76 points last week to close at 579.33. Meanwhile, the S&P/TSX Composite Index (INDEXTSI:OSPTX) gained 59.82 to close at 22,814.81. While in the mining and energy sector, a Canadian junior mining stock attracted the attention of Canadian investors after its price nearly doubled in just five trading days.
Alaska Energy Metals is an exploration company working to advance its significant mineral resources in Alaska, USA and Quebec, Canada. The company’s flagship property, the Nikolai project, is located in southeastern Alaska, and its Eureka deposit has an attractive mineral resource.
In a technical report released by the company in February this year, it said the project is estimated to be on track to yield an indicated resource of 3.88 billion pounds of nickel, 1.28 billion pounds of copper, 303 million pounds of cobalt and 4 million ounces of platinum from 813 million tonnes of ore.
The company also owns the Angliers project in western Quebec. The project consists of 464 claim areas covering 26.417 hectares and is essentially proven to host nickel, copper, platinum group metals, gold, molybdenum and zinc mineralisation.
Alaska Energy Metals also announced the acquisition of the neighbouring Bambino nickel-copper mine on June 5, a move that will add 57 new claims covering 3,320 hectares to the company’s portfolio, and on July 16 it announced the launch of a drilling program to test geochemical targets in the Canwell Zone under the Nikolai project, results are yet to release.
However, the junior mining stock has surged 93.1 per cent in the last week, pushing its market capitalisation to C$31.28 million, with a current share price of C$0.28. Investors interested in this mining stock can keep an eye on the company for further updates.
